Sometimes Quality makeup doesn’t equal the amount of money you spend, and a lot of what you pay for at department stores is the fancy packaging, slick magazine ads, and the advice of the salesperson standing behind the counter because Many of the products at the drug store are even practically like peas in a pod to department store brands; for instance: Lancôme and L’Oreal are owned by the same company and have many similar skin care products and use the same ingredients. If you have a Lancôme favorite but hate spending so much money, L’Oreal just might have a similar product for you. Department stores and Drug stores have it flaws because of many beauty products companies promote unrealistic ideas like erasing fine lines and age defying creams, but what the buyer has to consider is the longevity of the makeup products, how well does it last, and how well do the colors show. Some products like mascara,
Organizational Structure Paper Joseph D. Brown May 21, 2012 John A. Adamchik MGT/230 Organizational structure is the framework, typically hierarchical, within which an organization arranges its lines of authority and communications, and allocates rights and duties. The organization I am writing about is Wal-Mart. I am very familiar with this business and shop there quite frequently. Wal-Mart has a very large selection of groceries, electronics, and household products at reasonable prices. They even have matchmaker prices which means, if you find a store that has a lower price they will match it right there on the spot.
* Internal Rivalry: HIGH Costco, Target and Wal-Mart represent oligopoly that hold a vast majority of the market-share. In the past, each of these firms had a separate market segment, so the competition among them was minimum. Fort example, Target concentrated on little affluent neighborhood whereas Wal-Mart concentrated on rural neighborhood. However, with the growth of such firms as target and Costco, when they started looking to expand their market segment beyond what they already had, Wal-Mart faced a very stiff competition. As such, all the major discounted retail stores started vying for each other in the same location, hence the competition among them remains very strong.
In this particular case we can observe how low labor cost contributes to obtain low import tariffs therefore leads to cheaper products. Walmart’s success in Mexico was definitely possible because of the NAFTA implementation. Question 2 NAFTA benefits every company that is willing to operate abroad. This agreement solved some difficulties but Wal-Mart`s inherent competitive strategy was effective in the Mexican Market. As we all know Wal-Mart`s strategy to win against its competitors is its offered prices.
There was not one dominant player within the industry; they were more equally balanced thus increasing rivalry. The High fixed cost for running a discount store resulted in an economies of scale effect, this can be seen when Wal-Mart decided to gain economies of scale by building their own distribution centres to add value. Going public in order to finance the extra storage was important for Wal-Mart to utilise capacity as efficiently as possible, they did this by creating distribution hub around 15-20 stores. The increased rivalry continues, this was due to the low levels of product differentiation and little in the way of own branding, products were standard in nature through all discount stores. Also the low switching cost and consumer awareness of shopping around to find the best bargains increased competition around stores to capture customers.
Case 19: FreshDirect Is It Really Fresh? * With a bold promise on its website entry page, FreshDirect claimed, “Our food is fresh, our customers are spoiled…. Order on the web today and get next-day delivery of the best food at the best price, exactly the way you want it, with 100 percent satisfaction guaranteed.”1 However, recently many consumers have questioned the freshness of the food delivered by FreshDirect. Since online shopping does not give the chance for customers to feel and choose the products themselves, they must rely completely on FreshDirect to select the food for them. This notion has not appealed to some customers.
Mission * The company’s current mission objective is to give their customers what they want. Their strategy is to give their customers everything: a wide assortment of good quality merchandise at the lowest possible price. And their policies include guaranteed satisfaction with what you buy; friendly, knowledgeable service; convenient hours; free parking; a pleasant shopping experience. * Statement from Sam Walton about the company’s purpose, “If we work together, we’ll lower the cost of living for everyone…we’ll give the world an opportunity to see what it’s like to save and have a better life.” 2. Objectives * Corporate Business: constantly looking for ways to improve, whether it's connecting executive compensation to diversity goals or improving the supplier application process.
The disappearance of regular malls are effected by the litany of specialty stores that are popping up across the country, and the production of more “super-malls” means that the smaller ones will never succeed, and also that these “super-malls” must compete even harder by not only making these places vast and sundry, but also fun and adventurous. The Mall of America is enticing to a lot of Americans. The sheer size of the mall is 4.2 million square feet (105), the volume of people, and the large aggregate of retailers it encompasses, 350 storefronts were leased at the time (106), would seem like quite an adventure to anybody. Just watching the people is enough for some, for some it is actually the shopping that gives them their buzz, and some more dedicated mall-rats would say it is the mall itself that is addicting. “It’s a sickness.
Suppliers may have more power relative to the wholesalers, who don’t have as much power. Rival Firms: Rivalry, I would say, is fairly strong. Because of the extreme competition within the market as well as the high costs of raw materials, it’s generally difficult to gain much of an advantage over rivals. Because of the various channels available to consumers when purchasing jewelry (physical stores, online, etc), the competition is even MORE fierce. It didn’t help that a lot of their online competitors copied BN’s method of buying gemstones from their suppliers for specific purchases.
WALMART STORES: “EVERY DAY LOW PRICES” IN CHINA Question 1 Why is Wal-Mart successful in the US? * Focus on price and service – Providing the best quality goods at the lowest price in a friendly environment. Wal-Mart is well-known for selling brand name products for less. Moreover, providing great customer service, showing respect for the individual and striving for excellence become its organizational culture, which has been carried out through the company’s history and been followed by employers as well as employees, no matter what the location is. * Successful marketing to attract customers.